Selling bullishly skewed premium in the beaten down GE with the possibility of an assignment of shares with a cost basis of 7.33/share (a 9.5% discount over current price). Filed for a 1.67/contract credit.
Metrics:
Max Profit: $167/contract
Max Loss/Buying Power Effect (On Margin): Undefined/$171/contract
Break Evens: 7.33/10.67
Delta: 23.23
Theta: 1.09
Notes: Fairly rare to get a credit approaching your buying power effect ... .
Metrics:
Max Profit: $167/contract
Max Loss/Buying Power Effect (On Margin): Undefined/$171/contract
Break Evens: 7.33/10.67
Delta: 23.23
Theta: 1.09
Notes: Fairly rare to get a credit approaching your buying power effect ... .
Comment:
And of course it has to implode immediately after I put this on. Lol.
Trade active:
Rolling out "as is" to the March expiry to maintain <30 net long delta metric for a .46/contract credit. Scratch point at 2.13/cost basis of 6.87 if assigned shares via the short 9 put.
Trade active:
Doesn't look inclined to bounce ... . Rolling the 9 short call down to the 8 for a .31/contract credit. Net delta's still long at around 18. Scratch at 2.44/cost basis of 6.56 if assigned on the 9's.
Trade active:
Rolling the 8 down to the 7 strike for a .37 credit. Scratch at 2.81/cost basis of 6.19 if assigned on the 9.
Trade active:
Rolling out the inverted 7/9 to the June expiry for a .58 contract credit on this bounce here to bring some more extrinsic in. Total credits collected of 3.39 with a cost basis of 5.61/share if assigned on the 9 shortie with a topside break even of 12.39/share.